Safety and Economic Assessment of the Voltaian Basin Project

Abstract

The Voltaian basin, Ghana's largest inland basin is the least explored of the sedimentary basins in Ghana. Based on past reconnaissance surveys, albeit limited survey data, the basin is believed to have prospects of hydrocarbon reserves. The government has therefore renewed interest in the Voltaian Basin Project (VBP) to prepare and promote the basin to allow hydrocarbon exploitation activities. Ghana National Petroleum Corporation (GNPC), has been tasked to undertake this project. This paper undertook a safety assessment of the VBP and post VBP, and also examined its economic impact on the Ghanaian economy using standard risk management techniques and economic modelling respectively. It was deduced that a combination of high to low levels of risk exist in all phases of the project. Out of 64 hazards identified with the VBP and post VBP, three (3) were found to be of high risk, fifty-one (51) of medium risk and ten (10) of low risk. These risks range from gas leakage, through cement plug failure to slips, trips and falls. However, with appropriate mitigation measures such as routine inspection, routine maintenance and repairs, organizing periodic training programs and ensuring a robust Safety Management System, these risks could be reduced to the barest minimum, if not eliminated. The project is therefore a safe endeavour. In the event of commercial discovery, based on reliable data and informed estimations, the project was observed to accrue net earnings based on net present value for all stakeholders in the sums of at least $18.8 billion, $2.5 billion and $23.8 billion for government, GNPC and International Oil Companies respectively after ten (10) years of production. The project, if successful, would contribute immensely to the development of the Ghanaian economy. It is expected to replenish the country's declining reserves, provide a comparatively cheaper means of hydrocarbon exploitation, help build the capacity of the national oil company for operatorship in Exploration and Production operations and enhance Ghana's energy supply, bridging the demand gap.